Royce & Associates LP Cuts Holdings in Allison Transmission Holdings, Inc. (NYSE:ALSN)

Key Points

• Royce & Associates LP has reduced its holdings in Allison Transmission Holdings, Inc. by 7.4%, now owning 102,882 shares valued at approximately $9.84 million.
• Allison Transmission's recent quarterly earnings exceeded analysts' expectations with a $2.23 EPS compared to an estimated $1.97, despite a revenue decline of 2.9% year-over-year.
• The company has declared a quarterly dividend of $0.27 per share, yielding 1.21%, with a dividend payout ratio of 12.50%.

Royce & Associates LP cut its holdings in Allison Transmission Holdings, Inc. (NYSE:ALSN - Free Report) by 7.4% in the first quarter, according to the company in its most recent disclosure with the SEC. The fund owned 102,882 shares of the auto parts company's stock after selling 8,235 shares during the quarter. Royce & Associates LP owned about 0.12% of Allison Transmission worth $9,843,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in ALSN. Norges Bank acquired a new position in Allison Transmission in the 4th quarter worth approximately $108,916,000. Caisse DE Depot ET Placement DU Quebec grew its holdings in Allison Transmission by 4,877.2% during the fourth quarter. Caisse DE Depot ET Placement DU Quebec now owns 444,518 shares of the auto parts company's stock worth $48,035,000 after acquiring an additional 435,587 shares during the period. Raymond James Financial Inc. acquired a new stake in Allison Transmission during the fourth quarter worth about $41,081,000. FMR LLC grew its holdings in Allison Transmission by 1.9% during the fourth quarter. FMR LLC now owns 12,993,015 shares of the auto parts company's stock worth $1,404,025,000 after acquiring an additional 247,318 shares during the period. Finally, GAMMA Investing LLC grew its holdings in Allison Transmission by 10,402.1% during the first quarter. GAMMA Investing LLC now owns 148,289 shares of the auto parts company's stock worth $14,187,000 after acquiring an additional 146,877 shares during the period. 96.90% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling

In other Allison Transmission news, VP Ryan A. Milburn sold 3,412 shares of Allison Transmission stock in a transaction on Wednesday, May 21st. The stock was sold at an average price of $105.24, for a total value of $359,078.88. Following the sale, the vice president owned 11,924 shares in the company, valued at $1,254,881.76. The trade was a 22.25% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 1.10% of the stock is owned by corporate insiders.

Allison Transmission Price Performance

Shares of NYSE:ALSN traded up $1.41 during trading on Friday, reaching $89.40. The stock had a trading volume of 944,022 shares, compared to its average volume of 885,790. The company has a debt-to-equity ratio of 1.44, a quick ratio of 2.37 and a current ratio of 3.05. The business has a fifty day moving average price of $96.64 and a 200-day moving average price of $99.70. The stock has a market cap of $7.53 billion, a PE ratio of 10.35 and a beta of 0.96. Allison Transmission Holdings, Inc. has a 1-year low of $78.71 and a 1-year high of $122.53.

Allison Transmission (NYSE:ALSN - Get Free Report) last announced its quarterly earnings data on Thursday, May 1st. The auto parts company reported $2.23 EPS for the quarter, topping analysts' consensus estimates of $1.97 by $0.26. Allison Transmission had a return on equity of 46.97% and a net margin of 23.55%. The firm had revenue of $766.00 million for the quarter, compared to the consensus estimate of $792.18 million. During the same quarter last year, the business posted $1.90 earnings per share. The firm's revenue was down 2.9% compared to the same quarter last year. On average, equities analysts forecast that Allison Transmission Holdings, Inc. will post 9.06 earnings per share for the current fiscal year.

Allison Transmission Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, May 30th. Shareholders of record on Monday, May 19th were given a $0.27 dividend. The ex-dividend date of this dividend was Monday, May 19th. This represents a $1.08 dividend on an annualized basis and a yield of 1.21%. Allison Transmission's dividend payout ratio is currently 12.50%.

Wall Street Analysts Forecast Growth

Several analysts recently commented on ALSN shares. JPMorgan Chase & Co. dropped their target price on Allison Transmission from $110.00 to $98.00 and set a "neutral" rating on the stock in a report on Friday, April 11th. Wall Street Zen lowered Allison Transmission from a "buy" rating to a "hold" rating in a report on Sunday, June 22nd. Robert W. Baird dropped their target price on Allison Transmission from $123.00 to $100.00 and set a "neutral" rating on the stock in a report on Tuesday, April 15th. The Goldman Sachs Group raised their price objective on Allison Transmission from $80.00 to $90.00 and gave the company a "sell" rating in a report on Tuesday, May 27th. Finally, Raymond James Financial dropped their price objective on Allison Transmission from $110.00 to $105.00 and set an "outperform" rating on the stock in a report on Monday, July 21st. Two investment analysts have rated the stock with a sell rating, five have assigned a hold rating and two have assigned a buy rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Hold" and a consensus price target of $98.38.

Allison Transmission Company Profile

Allison Transmission Holdings, Inc, together with its subsidiaries, designs, manufactures, and sells fully automatic transmissions for medium- and heavy-duty commercial vehicles and medium- and heavy-tactical U.S. defense vehicles, and electrified propulsion systems worldwide. It provides commercial-duty on-highway, off-highway and defense fully automatic transmissions, and electric hybrid and fully electric systems.